Ninth Circuit Axes $52M FLSA Award To Claims Adjusters

Law360, New York (October 27, 2006, 12:00 AM EDT) -- Overturning an award of more than $52 million, a federal appeals court has ruled that hundreds of current and former claims adjusters at insurance company Farmers Group Inc. are exempt from federal law governing overtime compensation.

The U.S. Court of Appeals for the Ninth Circuit held Thursday that the various duties performed by the insurance adjusters were too independent for the group to be protected under the Fair Labor Standards Act.

According to Circuit Judge Barry G. Silverman, the U.S. District Court for the District of...
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